Current through Bulletin 2024-06, March 15, 2024
(1) In addition to
the disclosures required by Section
61-2e-304,
an AMC shall:
(a) notify the appraiser in
writing at the time an appraiser is first added to an appraiser panel:
(i) of the general criteria the AMC uses to
rank an appraiser on the panel; and,
(ii) if the AMC chooses to separate
appraisers into different tiers, of the general criteria the AMC uses to
distinguish one tier from another;
(b) notify the affected appraisers in writing
of any changes if, after the notice provided for in subsection (1)(a), the AMC
changes any of the general criteria the AMC considers relative to an
appraiser's ranking, tier, or classification within the panel
structure;
(c) at the time an
assignment is offered, disclose to the appraiser:
(i) the total amount that the appraiser may
expect to earn from the assignment:
(A)
disclosed as a dollar amount; and
(B) delineating any fees or costs that will
be charged by the AMC to the appraiser;
(ii)
(A)
the property address;
(B) the legal
description; or
(C) equivalent
information that would allow the appraiser to determine whether the appraiser
has been involved with any service regarding the subject property within the
three years preceding the date on which the assignment is offered;
(iii) the assignment conditions
and scope of work requirements in sufficient detail to allow the appraiser to
determine whether the appraiser is competent to complete the assignment;
and
(iv) any known deadlines within
which the assignment must be completed;
(d) at or before the time the appraiser
accepts an assignment, obtain the appraiser's acknowledgment as to the AMC's
competency statement;
(e) before
requiring the appraiser to submit a completed report, disclose to the
appraiser:
(i) the total fee that will be
collected by the AMC for the assignment; and
(ii) the total amount that the AMC will
retain from the fee charged, disclosed as a dollar amount; and
(f) direct the appraiser who
performs the real estate appraisal activity to disclose in the body of the
appraisal report:
(i) the total compensation,
stated as a dollar amount, paid to the appraiser or, if the appraiser is
employed by an appraisal company, to the appraiser's employer; and
(ii) the total compensation retained by the
AMC in connection with the real estate appraisal activity, stated as a dollar
amount.
(2)
Within 10 business days of receiving a written request from an appraiser or any
inquiry related to the business relationship between the appraiser and the AMC,
an AMC shall reply to the appraiser in writing. An inquiry may address subjects
including the AMC scorecard, appraiser panel status, clarification on work
assignments, training, or notice of the removal of an appraiser from an AMC
panel as required by Utah Code Section
61-2e-306.
If the AMC has requested appraisers send such inquiries to a specific address
or email address, appraisers shall direct such inquiries accordingly.
(a) If the AMC has determined to decrease the
number of assignments to the appraiser the AMC's reply will explain the reason
why the AMC has made this decision;
(b) if the AMC has determined to cease
offering assignments to the appraiser, the the AMC's reply will explain the
reason why the AMC has made this decision; and
(c) if the AMC has determined to remove the
appraiser from an appraiser panel, the AMC shall provide the appraiser notice
as required by Utah Code Section 61-2e-306.
(3) Any written notice or reply required by
this section from an AMC to an appraiser may be communicated:
(a) by email;
(b) in a written communication to the mailing
address provided by the appraiser; or
(c) by posting to a private vendor website,
portal, or other digital venue to which the appraiser has access for at least
30 days following posting of the notice.
(4) For purposes of this Section, the term "
general criteria" means a standard description of the factors the AMC considers
when ranking or differentiating appraisers or tiers within a panel of
appraisers. This does not require an AMC to disclose any algorithms, formulas,
or information about proprietary processes.
(5) In replying to a request from an
appraiser, an AMC is not required to reply to subsequent or multiple requests
if a request unreasonably duplicates a prior request from that
person.
(6) In addition to the
presumptions of compliance referenced in Utah Code Subsection
61-2e-304(2)(b),
an AMC is presumed to be in compliance with the Utah requirement to pay
appraisers a customary and reasonable fee if the AMC compensates an appraiser
for a completed appraisal at a rate consistent with the fee schedule for the
state of Utah as published by the United States Department of Veterans Affairs
Denver Regional Loan Center Appraisal Fee Schedule, as the fee schedule is
updated from time-to-time.